Some aboriginals in Canada that are under the right the circumstances exempt from Canadian taxation may nevertheless be US persons.
The IRS has made a clear statement with regard to the tax exempt status of Native Americans:
This revenue ruling emphasizes to taxpayers, promoters, and return preparers that there is no right to exemption from federal income tax for Native Americans under an unspecified “Native American Treaty.” Any return position based on an unspecified “Native American Treaty” has no merit and is frivolous. As a general rule, Native Americans are subject to federal income tax just like every other American.
This would mean that any claim to tax exemption on the basis of Canadian tax law would also be frivolous. Now it may be interesting to cite Article 25 of the Canadian Charts of Rights and Freedoms:
25. The guarantee in this Charter of certain rights and freedoms shall not be construed so as to abrogate or derogate from any aboriginal, treaty or other rights or freedoms that pertain to the aboriginal peoples of Canada including
- (a) any rights or freedoms that have been recognized by the Royal Proclamation of October 7, 1763; and
- (b) any rights or freedoms that now exist by way of land claims agreements or may be so acquired.
Article 25 would seem to suggest that Finance Minister Jim Flaherty does not have the authority to abolish the right to tax exemption of Canadian aboriginals. Flaherty however has essentially claimed that all Canadians of US national origin are subjects of the IRS; this would mean that an aboriginal Canadian would lose tax exemption and would have to pay taxes in the USA. This is most obviously quite another breach of the Canadian Charter of Rights and Freedoms, and a clear setback for aboriginal peoples of Canada who happen also to be US persons.
Now this particular violation of rights does not affect me. However, I am of American origin, but my grandparents on my mothers side came from Korean. My grandmother was from North Korea. My grandfather was from the South. I respectfully request that Mr. Flaherty send my bank account information to Seoul and to Pyongyang. I will then pay what normally I would have to pay only the CRA as follows in equal fractions: one part to Seoul, one part to Pyongyang, one part to Canada, and one part to the United States. My father was of Scottish and Irish descent, and so I guess Edinburgh, Dublin and Belfast should each get a part too.
Of course I have a CLN, so I can legally skip the part to the USA.
This is exactly what I have been trying to tell them! No natives seem to be listening. I’ve been blowing the whistle for 5 months now and still no interest to listen to what I have to say…. extremely frustrating for me as I GET IT!
@NativeCanadian, thanks. I was listening. Today, I was reading the Charter of Rights and Freedoms article 25 and that is what inspired this post.
Thank you Petros. The Native peoples here have no idea what is about to hit them…. very sad. Thanks again for all the hard work and for caring.
Thanks, Petros. I have passed this on to persons I know who need this important information.
I’m sorry, that is not constructive. But… holy cow. I will definitely be sharing this.
Maybe there should be, on behalf of all countries in the world other than the USA, a resolution of the United Nations authorizing the UN to collect from US Persons resident in the USA, taxation on such persons’ World wide income (especially their US generated income) if they were born in the US with at least one non US Ancestor from the preceding (say 3 generations), migrated to the US themselves. The United Nations could then use this tax revenue from that US nation of tax cheats to assist the poorest around the world. To aid in this effort, ALL US people (including corporations) resident in the US or its possessions, would be required to file full information as to all financial dealings (else be deemed recalcitrant) by authorizing their Institutions to electronically report their full general ledgers to the United Nations where they would be subject to scrutiny.
@NativeCanadian, Eventually they will figure it out. Some people just do not plan ahead, and do not react to danger until it is literally staring them in the face. Once they do though, watch out! Those large protests that some of us keep dreaming about here, may one day become a reality. In the meantime, keep doing what you are doing. If we meekly fall in line, by becoming compliant and then renouncing, and washing our hands of the USA BS, the ones left behind will be roasted. Patience is key.
Re: prior comment. I’m NOT saying that those who renounce just walk away, because truth is that most of the active, public fighters we know from Brock have already renounced. Everyone has to do what is right for their particular situation. I’m just saying that I am hearing a lot of defeatist rumblings that the only way out is to renounce, and I simply do NOT think this is the case.
@NativeCanadian We have been following your efforts to raise awareness re FATCA/IGA with interest and sympathy. We, too, have been unable to break through the denial of some who should be following the issues. We, too, have been communicating with an MP who doesn’t understand the issues and is spewing the party line. People seem to be able to avoid thinking about things until they are about to be swept up in the tsunami. It seems to be a case of a prophet being without honour in his own community. We are grateful to Brock for providing support and information.
Thank you Mrs TomOn. It seems to be very frustrating to get the message out as it is very complicated. I will not stop the work I have started and will intensify the effort before the Conservative trained seals vote this bank bailout IGA into Canadian law. For the Aboriginal community, I will work on educating the people before they go to their bank and wonder why they are asked for a birth certificate, or even get a letter from the CRA telling them that based on their birthplace, their personal information will be sent to a “foreign” government for prosecution. The Charter applies to Aboriginal peoples as well as ANY Canadian citizen or resident. It seems the Harper government threw our rights away to save the banks who are making record profits while people are starving and being told to cut back on their lifestyle because “things are bad” in our economy. Even Liar Flaherty himself would not give our retired people any benefit increase because “now is not a good time” simply while the banks report “record” profit….. I wonder when it will all stop……
I spoke with four Idle No More protesters when we were in Ottawa on the Hill and all of them seemed alarmed by FATCA and thought it was outrageous. Maybe getting a meeting more one on one would be a good way to wake up some of the leaders.
I wonder if there has ever been any other country that threatened sanctions against ALL countries in the world? Should we contact the Guinness book of world records to show that the USA is the first country to “Threaten Sanctions” against ALL of the world at the same time?
@Native Canadian – that is a novel thought ! Excellent wheeze !
“Should we contact the Guinness book of world records to show that the USA is the first country to “Threaten Sanctions” against ALL of the world at the same time?”
Don’t forget there are about 175 countries that refuse to sign on to Fatca so far. If they intended to they would have by now. Most are holding out as long as they can but if they do refuse I can’t wait to see the US try to withhold anything from US sourced income. Man, I must be missing something here because I would just call the bluff and say OK then, get out of our country. The USA cannot afford to lose even the smallest nation to any (LOL) resistance or the house of cards will come crashing down. Man how much hate can the US absorb?
@ Native Canadian – I have just sent the following email to US@guinnessworldrecords.com
Dear Publisher / Editor of Guinness World Records,
I and others would like to know how one may nominate the USA as the first country to threaten sanctions against every other country in the world simultaneously. The action by the US is known as the Foreign Account Tax Compliance Act (aka FATCA). FATCA threatens every financial institution in the entire world with a 30% penalty witholding from every remittance from the US to that institution IF the institution fails to comply with the US FATCA Act regardless of any breaches of the Sovereignty, Constitutions, Charters of Rights and Freedoms or regular laws in the country in which that institution is domiciled.
Please refer to the web site http://isaacbrocksociety.ca/2014/02/26/canadian-aboriginals-and-the-irs/comment-page-1/#comment-1156721 and peruse the multitude of articles and commentaries on that site regarding this subject. A second informative web site on the matter is http://www.repealfatca.com/ as is also http://maplesandbox.ca/
Looking forward to hearing from you.
The cross-border rights of American and Canadian Native Peoples are governed first by the Jay Treaty, especially with regard to Customs duties http://www.let.rug.nl/usa/documents/1786-1800/the-jay-treaty-1794.php It is not, however, applied in equal manner by Canada and the USA. And the rights have been abused by tobacco and liquor smuggling, often using trails on Indian land. See US v. Pasquantino, US v. Trapilo, US v. Boots. Canadian Natives do not need anything but their band status card to enter the US and work. http://canada.usembassy.gov/visas/information-for-canadians/first-nations-and-native-americans.html Presumably they could be covered by Expatriation to Avoid Tax rules if they met the residence requirement; on the other hand most are poor. (Compare the more unfortunate status of cross-border tribes at the Mexican frontier, such as the Kickapoo; many lack proof of birth registration (common in Mexico http://tinyurl.com/kebcl4q ) and they are not covered by any treaty.
As 5thSwiss says the Jay Treaty covers this however upon further examination of border tribes by First Nations such as Coast Salish and Haida in BC. Mny of these have off-shoot tribes such as Sto:Lo which fall under South Fraser Salish which in my limited knowledge of tribes would fall under the Coast Salish umbrella. In that regards it could be said that over 85% of First Nations fall under the dual-citizen net. And that is disturbing when you take a look at the implications. As most monies to First Nations bands do not fall under “earned income” and most band treasury accounts fall squarely in the crosshairs of FATCA owing to the amounts they work with.